KINGSTON, N.Y.--(BUSINESS WIRE)--
Kingstone Companies, Inc. (Nasdaq: KINS) (the “Company” or “Kingstone”), a multi-line property and casualty insurance holding company, today announced salary increases for all non-managerial level staff, primarily those located in its Kingston (Ulster County), New York headquarters.
“Prior to the passage and signing of the “Tax Cuts and Jobs Act”, we decided that a reduced corporate income tax burden, down from almost 35% to under 21%, would afford us with a great opportunity,” said Barry Goldstein, Kingstone’s Chairman and CEO. “We’ve always sought to achieve an equitable balance and alignment of interests among the Company’s three main constituencies: our shareholders, our select producer partners, and our staff. Over the course of 2017, our stock price appreciated significantly and our dividend has been increased, resulting in a substantial investment return for our shareholders. Our select producers, in addition, will benefit from a bonus commission payout for 2017 that will be the highest ever paid by Kingstone.”
“Now, with another outstanding year behind us, we’ve chosen to redirect some of the savings from the new tax law to our dedicated and well-deserving core staff. We will accomplish this by providing an immediate salary increase to all non-managerial staff. This permanent benefit will provide them with a material amount of additional spendable income. In combination with other benefits from the new tax law, many will see their take home pay rise materially, helping to propel the local Kingston economy. This will improve our ability to hire, retain, and continue to build our excellent staff, which is now approaching 100 full-time employees.”
“Every Kingstone employee participates in our profit sharing plan, where distributions are driven directly by the Company’s combined ratio. Over the past five years the average annual payout has been more than 17% of employee base pay. All employees have access to Company sponsored health insurance, where Kingstone pays over 75% of the total cost. Managerial and executive staff all receive restricted stock grants, providing long-term incentives aligned with shareholder value. “
“In November, we increased the Company’s minimum hourly wage to $15. With the new tax law in place, our Compensation Committee has approved, effective January 1st, an increase in base pay of 5%, with a minimum of $2,500 per year, for all non-managerial level employees. This is not just the one-time bonus that other larger companies have chosen to pass along to their staffs. It is a permanent increase, and over the course of 2018 additional merit raises will be based upon these increased base salaries.“
About Kingstone Companies, Inc.
Kingstone is a property and casualty insurance holding company whose principal operating subsidiary, Kingstone Insurance Company, is domiciled in the State of New York. Kingstone is a multi-line property and casualty insurance company writing business exclusively through independent retail and wholesale agents and brokers. Kingstone is licensed to write insurance policies in New York, New Jersey, Pennsylvania, Connecticut, Texas and Rhode Island. Kingstone offers property and casualty insurance products to individuals and small businesses in New York, New Jersey, Rhode Island and Pennsylvania.
Forward-Looking Statement
Statements in this press release may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, may be forward-looking statements. These statements are based on management’s current expectations and are subject to uncertainty and changes in circumstances. These statements involve risks and uncertainties that could cause actual results to differ materially from those included in forward-looking statements due to a variety of factors. More information about these factors can be found in Kingstone’s filings with the Securities and Exchange Commission, including its latest Annual Report filed with the Securities and Exchange Commission on Form 10-K. Kingstone undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
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